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MLB Owners Intensify Salary-Cap Drive as $240 Million Ceiling and $160 Million Floor Surface

Player opposition makes a lockout at CBA expiration in December increasingly likely.

Overview

  • ESPN reported owners are prepared to force the issue on a cap, with one executive saying they are "ready to burn the f---ing house down," even if it jeopardizes the 2027 season.
  • Management discussions outlined a framework with a $160 million payroll floor and $240 million ceiling, phased in over years, with NHL-style hard-cap features such as contract-length limits, escrow and potential changes to arbitration and free-agency timelines under consideration.
  • The MLBPA has repeatedly rejected any cap, with leadership insisting the union will not agree to one, and players widely expect a work stoppage when the current deal expires on December 1.
  • Owners point to widening payroll gaps as justification, highlighting the Dodgers’ roughly $551 million in combined payroll and tax outlays versus the Marlins’ $78.4 million payroll, along with record recent luxury-tax payments across the league.
  • Super-agent Scott Boras promotes a different remedy by centralizing national media rights to boost shared revenue for smaller markets, citing the NBA’s model and the strain from regional sports network failures.